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Case-Based Critical Thinking Questions
Case 1-1
Tony is in charge of all presentations for a Fortune 500 pharmaceutical company.In addition to creating powerful and persuasive presentations, Tony must make sure each presentation is in perfect shape before uploading them to the company Web site.
Tony wants to make sure that he is familiar with the flow of animated objects on the last slide, so he reviews the ____.
External Effects
In economics, externalities or external effects occur when the actions of individuals or firms have positive or negative impacts on third parties not directly involved in the transaction.
Demand
Refers to the quantity of a good or service that consumers are willing and able to purchase at different prices at a given time.
Supply
The total amount of a specific good or service that is available to consumers at a given price level and over a specific period.
Positive Externalities
Benefits received by third parties who are not directly involved in a transaction or activity, leading to potentially under-produced goods or services in a free market.
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